tag:blogger.com,1999:blog-7944902213075756335.post3169333432351579484..comments2024-03-28T10:39:01.047+08:00Comments on A Singaporean Stocks Investor (ASSI): How insurance weakened a family's balance sheet?AK71http://www.blogger.com/profile/16832145412062954289noreply@blogger.comBlogger30125tag:blogger.com,1999:blog-7944902213075756335.post-31981306636243131962018-07-24T18:18:44.263+08:002018-07-24T18:18:44.263+08:00Remember, no one cares more about our money than w...Remember, no one cares more about our money than we do.<br /><br />The salesperson's job is to sell products and services.<br /><br />Our job is to decide if these products and services are needs or wants?<br /><br />Do not let the salesperson decide for you!AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-88700337042666947132017-11-03T15:17:47.997+08:002017-11-03T15:17:47.997+08:00Hi Mark,
You have to understand why we buy life i...Hi Mark,<br /><br />You have to understand why we buy life insurance. It is to make sure that our dependents will not be helpless if we pass on. As long as we have dependents, we need life insurance. It is that simple. :)<br /><br />In our old age, chances are that we would not have dependents anymore. So, we don't need life insurance in our old age. Also, if we are retired without an income,AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-24002350064374731462017-11-03T14:58:00.215+08:002017-11-03T14:58:00.215+08:00Hi AK,
Would you still require while life insuran...Hi AK,<br /><br />Would you still require while life insurance policies if you have a special needs child? This means there’s a chance your child would still be a dependent even when he/she is an adult. <br /><br />Also, is there a difference between term life insurance and whole life insurance? <br /><br />I like the idea of term insurance which I understand has a much lower monthly premium. ButMChttps://www.blogger.com/profile/10953090819765135069noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-47729955036933124862017-11-03T14:57:07.870+08:002017-11-03T14:57:07.870+08:00Hi AK,
Would you still require while life insuran...Hi AK,<br /><br />Would you still require while life insurance policies if you have a special needs child? This means there’s a chance your child would still be a dependent even when he/she is an adult. <br /><br />Also, is there a difference between term life insurance and whole life insurance? <br /><br />I like the idea of term insurance which I understand has a much lower monthly premium. ButMChttps://www.blogger.com/profile/10953090819765135069noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-4612382844082252132017-10-22T19:21:53.359+08:002017-10-22T19:21:53.359+08:00Hi Spur,
Just itchy.
Not painful. ;pHi Spur,<br /><br />Just itchy. <br /><br />Not painful. ;pAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-57123104732434107582017-10-22T19:20:32.521+08:002017-10-22T19:20:32.521+08:00Hi fc,
I will most likely stick to FRS.
I don...Hi fc,<br /><br />I will most likely stick to FRS.<br /><br />I don't like BRS because it means I would have to pledge my home.<br /><br />Private annuities? If an attractive offer comes along and if I have spare cash, why not? ;)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-13962299950658977012017-10-22T18:52:33.488+08:002017-10-22T18:52:33.488+08:00Hi AK,
Ooops ... hope it wasn't too big a bit...Hi AK,<br /><br />Ooops ... hope it wasn't too big a bite! Kekeke!!<br /><br />Looking forward to your new output! :)Spurhttps://www.blogger.com/profile/11824813457786462446noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-37023613376789454592017-10-22T18:25:31.678+08:002017-10-22T18:25:31.678+08:00Ak,
yes, i guess that makes sense...
if thats th...Ak,<br />yes, i guess that makes sense... <br /><br />if thats the case, why not just use the BRS then? <br />or, in your case, buy FRS and the balance for pte annuities?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-88767536934089602142017-10-22T18:15:02.304+08:002017-10-22T18:15:02.304+08:00Hi Spur,
Thanks to you and fc, the writing bug ju...Hi Spur,<br /><br />Thanks to you and fc, the writing bug just bit me. Another blog akan datang. ;pAK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-42131954970045436892017-10-22T17:49:45.238+08:002017-10-22T17:49:45.238+08:00That guy from providend is talking about "tot...That guy from providend is talking about "total return" i.e. payouts + bequest.<br /><br />For SP to provide higher total return than BP, a male needs to live past about 91 or 92 yrs old. He's figuring that he'll most likely up lorry before that, hence BP is his choice. This kind of thinking more suitable for those who want to leave something for beneficiaries, or has other Spurhttps://www.blogger.com/profile/11824813457786462446noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-28132702508580891182017-10-22T14:46:04.355+08:002017-10-22T14:46:04.355+08:00Hi fc,
In terms of interest rates, the first $30K...Hi fc,<br /><br />In terms of interest rates, the first $30K gets 6%, the next $30K gets 5% and anything above $60K gets 4%. This is why BRS will have the highest effective interest rate, followed by FRS and ERS.<br /><br />The CPF is not a commercial product. It has a social mission which is to help members who have less savings a little more than members with more savings.<br /><br />As for AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-13961214330198382142017-10-22T14:36:22.413+08:002017-10-22T14:36:22.413+08:00for some reason when i calculate the returns for t...for some reason when i calculate the returns for the FRS vs ERS. <br />the returns is higher for FRS than ERS. <br />why is this so? <br />wouldnt a higher premium, supposedly give u higher returns? <br /><br />also, when u break it down furthur, the FRS - SP (7.6%) is superior than BP (6.57%) or EP (6.92%). <br />not sure why christopher tan (providend) says that BP is better than SP "Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-24072476814267795422017-10-22T11:12:52.327+08:002017-10-22T11:12:52.327+08:00The report highlighted that with CPF's interes...The report highlighted that with CPF's interest rate structure, CPF Life is able to provide an effective annuity rate of 7.1 per cent based on a $100,000 premium.<br /><br />"This compares favourably with life annuities in most markets," stated the report. The annuity rate was calculated based on the ratio of annual payout to premium paid, for a male member born in 1962, or is 55 AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-87320487991214797932017-10-22T10:35:33.387+08:002017-10-22T10:35:33.387+08:00Hi fc,
With longevity risk, ideally, annuities sh...Hi fc,<br /><br />With longevity risk, ideally, annuities should pay us till the day we die.<br /><br />What is a decent return? I have not done any comparison lately but I know none is able to come close to what CPF Life is able to generate which is a minimum of 4%. <br /><br />However, if it is only 2.5%, I might as well just do annual VC to my CPF account as the OA pays 2.5%. So, intuitively, AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-21282866064008905922017-10-22T10:17:44.774+08:002017-10-22T10:17:44.774+08:00Hi Spur,
Thanks for sharing this.
Not putting al...Hi Spur,<br /><br />Thanks for sharing this.<br /><br />Not putting all our eggs in one basket makes sense. :)AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-441810953172235882017-10-22T09:17:22.458+08:002017-10-22T09:17:22.458+08:00AK,
thanks for that...
if you were to get an ann...AK, <br />thanks for that... <br />if you were to get an annuity, would you get one that is limited ie payout for 25/30/etc<br />or, one that pays till death? (premiums would be higher as the length of payout gets longer)<br /><br />also with so many annuities in the market, what returns would be considered decent?<br />2.5%? 3% ? <br /><br />when we compare annuities, should we solely look onlyAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-32445063253805788712017-10-21T18:58:09.481+08:002017-10-21T18:58:09.481+08:00SDIC insures private annuities only up to $100K of...SDIC insures private annuities only up to $100K of payouts and that's only for the guaranteed portion .... non-guaranteed payouts not insured.Spurhttps://www.blogger.com/profile/11824813457786462446noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-6028971824628515692017-10-21T17:33:25.454+08:002017-10-21T17:33:25.454+08:00Hi fc,
With CPF Life, we can go 50% above the Ful...Hi fc,<br /><br />With CPF Life, we can go 50% above the Full Retirement Sum. This is, of course, the Enhanced Retirement Sum. This would give us a rather nice regular monthly income from age 65.<br /><br />If we dislike volatility and want to reduce risk in retirement funding, we could get private annuities to complement CPF Life.<br /><br />You could compare annuities to see which ones offer AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-15346207030480085112017-10-21T11:42:07.346+08:002017-10-21T11:42:07.346+08:00AK,
yes, i understand the part of cpf life.
i wa...AK, <br /><br />yes, i understand the part of cpf life.<br />i was refering to private annuities to complement CPF life. <br />should it be used to complement CPF life? <br /><br />how do we evaluate if a private annuity is good? there are so many permutations. <br />ie, pay out amount, payout age, etc etc. guaranteed income, non-guaranteed etc etc. <br /><br />also, say for eg, base on the eg inAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-64733880855793968022017-10-20T14:08:23.682+08:002017-10-20T14:08:23.682+08:00Hi fc,
CPF Life is an annuity.
As a tool to hel...Hi fc,<br /><br />CPF Life is an annuity. <br /><br />As a tool to help ensure a regular income in retirement, annuities should definitely be given serious consideration.<br /><br />See:<br /><a href="http://singaporeanstocksinvestor.blogspot.sg/2015/02/an-annuity-would-you-rather-have-it-or.html" rel="nofollow">An annuity: Would you rather have it or not?</a>AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-55288051173479489632017-10-20T09:35:06.789+08:002017-10-20T09:35:06.789+08:00AK,
should annuities have a place in retirement p...AK,<br /><br />should annuities have a place in retirement planning? <br />these are guaranteed payout upon reaching your selected payout age. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-15638720441041689622017-10-19T13:51:26.000+08:002017-10-19T13:51:26.000+08:00Jackson Ca:
Hi AK, is there an proportion of inco...Jackson Ca: <br />Hi AK, is there an proportion of income that one should be spending on insurance to ensure one is not overly burdened with insurance expenses?<br /><br />AK: <br />The question of how much insurance is sufficient is more pertinent. Know how much insurance we need and don't overpay. Of course, we want to pay as little as possible to get the coverage we need, all else being AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-71683933470334577382017-10-19T13:48:04.908+08:002017-10-19T13:48:04.908+08:00Jimmy Ng:
If hubby is SAFRA member, go have a loo...Jimmy Ng: <br />If hubby is SAFRA member, go have a look at their term policies. Very affordable, and turns insurance agents face black-black.<br /><br />AK:<br />For SAFRA group insurance, take note the premium is not guaranteed, the terms can be changed without our consent and coverage can be cancelled at any time. So, it is prudent not to depend solely on group insurance.<br /><br />Chia Peng AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-88025240227021035702017-10-19T11:38:24.908+08:002017-10-19T11:38:24.908+08:00Hi Matthew,
Indeed, the last time I got 4% per an...Hi Matthew,<br /><br />Indeed, the last time I got 4% per annum from an endowment policy was from UOB Life Guaranteed Rewards. That endowment policy was bought almost 20 years ago. I have not been able to find another product like that since it matured. -.-"AK71https://www.blogger.com/profile/16832145412062954289noreply@blogger.comtag:blogger.com,1999:blog-7944902213075756335.post-37412055776693268962017-10-19T09:18:04.748+08:002017-10-19T09:18:04.748+08:00Hi FC,
Those endowments that returns 4% p.a. are ...Hi FC,<br /><br />Those endowments that returns 4% p.a. are older policies.<br />The newer ones return closer to 3% p.a.<br /><br />You might want to take a closer look at the returns that Kyith shows in his blog post.<br /><br />Regards,<br />MatthewAnonymoushttps://www.blogger.com/profile/18294704042300607437noreply@blogger.com